LCID setting up falling wedge breakout LONG
From the 1H chart, I have drawn descending and falling trendlines with the resistance
falling faster, That is to say I see a falling wedge pattern which might be typically
at the bottom of a trend forecasting an upside breakout. LICD made a small move
up in the past 3-4 hours of trading. Overall the indicators support the idea of a
reversal especially on the dual TF RS indicator with the green lower TF rising over
the higher TF black line and above the 50 level. Likewise, the ZL MACD shows a
line cross under the histogram which went red to green in a bit of bullish divergence.
The ADX oscillator has yet to show much of anything with the lines hovering about the
20 level. Overall, I expect a breakout however I am willing to take a trade now because
price is near to the support trenline allowing for a small stop loss and a 6% move to
the upper resistance trendline. From there I anticipate a break above the line and
continuation. In the bigger picture, TSLA is moving up again and other EV stocks may be
simply following the leader. ( SL 6 TP1 6.4 TP2 6.85 TP3 7.4 )
falling faster, That is to say I see a falling wedge pattern which might be typically
at the bottom of a trend forecasting an upside breakout. LICD made a small move
up in the past 3-4 hours of trading. Overall the indicators support the idea of a
reversal especially on the dual TF RS indicator with the green lower TF rising over
the higher TF black line and above the 50 level. Likewise, the ZL MACD shows a
line cross under the histogram which went red to green in a bit of bullish divergence.
The ADX oscillator has yet to show much of anything with the lines hovering about the
20 level. Overall, I expect a breakout however I am willing to take a trade now because
price is near to the support trenline allowing for a small stop loss and a 6% move to
the upper resistance trendline. From there I anticipate a break above the line and
continuation. In the bigger picture, TSLA is moving up again and other EV stocks may be
simply following the leader. ( SL 6 TP1 6.4 TP2 6.85 TP3 7.4 )